Texas 2021 - 87th Regular

Texas Senate Bill SB903 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	S.B. No. 903
	1	+	By: Perry S.B. No. 903
	2	+	(Sanford)
2	3
3	4
	5	+	A BILL TO BE ENTITLED
4	6		AN ACT
5	7		relating to suits for tax refunds.
6	8		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
7	9		SECTION 1. Subchapter C, Chapter 111, Tax Code, is amended
8	10		by adding Section 111.106 to read as follows:
9	11		Sec. 111.106. TAX REFUND: NOTICE OF INTENT TO BYPASS
10	12		HEARING. (a) A person claiming a refund under Section 111.104 may
11	13		file with the comptroller a notice of intent to bypass the hearing
12	14		under Section 111.105. The notice of intent must:
13	15		(1) be filed on or before the 60th day after the date
14	16		the comptroller issues a letter denying the claim for refund;
15	17		(2) be in writing;
16	18		(3) assert the material facts and each specific legal
17	19		basis on which a refund is claimed; and
18	20		(4) specify the amount of the refund claimed.
19	21		(b) A person who files a notice of intent under Subsection
20	22		(a) may bypass the hearing under Section 111.105 and bring a suit
21	23		under Subchapter D, Chapter 112, if:
22	24		(1) the person participated in a conference under
23	25		Subsection (c), in which case the suit must be filed on or before
24	26		the 60th day after the date the conference concludes or a later date
25	27		agreed to by the comptroller; or
26	28		(2) the comptroller does not provide notice in the
27	29		time required by Subsection (d) that a conference is required, in
28	30		which case the suit must be filed on or before the 90th day after the
29	31		date the notice of intent was filed.
30	32		(c) The comptroller may require a conference between a
31	33		person who files a notice of intent under Subsection (a) and a
32	34		designated officer or employee of the comptroller to clarify any
33	35		fact or legal issue in dispute regarding the refund claim and to
34	36		discuss the availability of additional documentation that may
35	37		assist in resolving outstanding issues regarding the claim. The
36	38		person who filed the notice of intent may amend a material fact or
37	39		legal basis described by Subsection (a)(3) following the conference
38	40		if the comptroller agrees in writing to the amendment.
39	41		(d) If the comptroller requires a conference under
40	42		Subsection (c), the comptroller shall notify the person of the
41	43		conference requirement not later than the 30th day after the date
42	44		the notice of intent under Subsection (a) was filed. The notice of
43	45		the conference requirement must be in writing and include a date and
44	46		time for the conference. The conference date provided in the notice
45	47		must be no later than the 90th day after the date the notice of
46	48		intent was filed.
47	49		(e) The person who filed the notice of intent under
48	50		Subsection (a) may request to reschedule the conference date
49	51		provided in the notice under Subsection (d). The comptroller shall
50	52		make a good faith effort to accommodate the request. If the
51	53		comptroller and the person who filed the notice of intent do not
52	54		agree on or before the 90th day after the date the notice of intent
53	55		was filed to a rescheduled date for the conference, the person may
54	56		rescind the notice of intent on or before the 120th day after the
55	57		date the notice of intent was filed and request a hearing under
56	58		Section 111.105.
57	59		(f) Except as provided by Subsection (e), a person who files
58	60		a notice of intent under Subsection (a) waives the person's right to
59	61		a hearing under Section 111.105.
60	62		SECTION 2. Sections 112.151(a), (c), and (d), Tax Code, are
61	63		amended to read as follows:
62	64		(a) A person may sue the comptroller to recover an amount of
63	65		tax, penalty, or interest that has been the subject of a tax refund
64	66		claim if the person [has]:
65	67		(1) has filed a tax refund claim under Section 111.104
66	68		[of this code];
67	69		(2) either:
68	70		(A) has filed, as provided by Section 111.105 [of
69	71		this code], a motion for rehearing that has been denied by the
70	72		comptroller; or
71	73		(B) is authorized to bring the suit under Section
72	74		111.106(b); and
73	75		(3) has paid any additional tax found due in a jeopardy
74	76		or deficiency determination that applies to the tax liability
75	77		period covered in the tax refund claim.
76	78		(c) A person who satisfies the requirement of Subsection
77	79		(a)(2)(A) must file the [The] suit [must be filed] before the
78	80		expiration of 60 [30] days after the issue date of the denial of the
79	81		motion for rehearing or it is barred. A person who satisfies the
80	82		requirement of Subsection (a)(2)(B) must file the suit during the
81	83		time provided by Section 111.106(b) or it is barred.
82	84		(d) The amount of the refund sought must be set out in the
83	85		original petition. A copy of the motion for rehearing filed under
84	86		Section 111.105 or the notice of intent filed under Section
85	87		111.106(a), as applicable, [of this code] must be attached to the
86	88		original petition filed with the court and to the copies of the
87	89		original petition served on the comptroller and the attorney
88	90		general.
89	91		SECTION 3. Section 112.152, Tax Code, is amended to read as
90	92		follows:
91	93		Sec. 112.152. ISSUES IN SUIT. (a) The [grounds of error
92	94		contained in the motion for rehearing are the] only issues that may
93	95		be raised in a suit under this subchapter are, as applicable, the:
94	96		(1) grounds of error contained in the motion for
95	97		rehearing; or
96	98		(2) material facts and legal bases contained in the
97	99		notice of intent filed under Section 111.106(a).
98	100		(b) The suit applies only to a tax liability period
99	101		considered in the comptroller's decision or covered by the notice
100	102		of intent filed under Section 111.106, as applicable.
101	103		SECTION 4. This Act applies to a claim for a refund that is
102	104		pending or filed on or after the effective date of this Act, without
103	105		regard to whether the taxes that are the subject of the claim were
104	106		due before, on, or after that date.
105	107		SECTION 5. This Act takes effect September 1, 2021.
106		-	______________________________ ______________________________
107		-	President of the Senate Speaker of the House
108		-	I hereby certify that S.B. No. 903 passed the Senate on
109		-	April 19, 2021, by the following vote: Yeas 31, Nays 0.
110		-	______________________________
111		-	Secretary of the Senate
112		-	I hereby certify that S.B. No. 903 passed the House on
113		-	May 20, 2021, by the following vote: Yeas 146, Nays 0, one
114		-	present not voting.
115		-	______________________________
116		-	Chief Clerk of the House
117		-	Approved:
118		-	______________________________
119		-	Date
120		-	______________________________
121		-	Governor